IBSER proposals are taken into account
02 June 2010
Proposals of MFSI/IBSER project experts have been included to the Economic Reforms Program for 2010-2014
The Wealthy Society, Competitive Economy and Effective State Economic Reforms Program for 2010-2014, which was submitted for discussion on June 2, 2010, by the Committee for Economic Reforms for 2010-2014, incorporates 28 proposals made by experts of the MSFI/IBSER project. This program shall be the basis for political actions and changes in legislation during the period from 2010 to 2014.
Due to long-term work of IBSER within the framework of the Municipal Finance Strengthening Initiative project (MFSI), in particular, in terms of development of legislative proposals by cooperation with the Ministry of Finance of Ukraine, Administration of the President of Ukraine, and the Cabinet of Ministers of Ukraine, organization of activities of the National Advisory Board, the proposals of IBSER, which will ensure fulfillment of key tasks contemplated by the MFSI project such as strengthening of municipal government financial basis, fiscal decentralization strengthening, improvement of local budgets attractiveness in terms of investments and use of innovative financial tools for the purpose of restoration and enhancement of regional infrastructure energy efficiency, application of the Performance Program Budgeting (PPB) at the level of local budgets, implementation of the mid-term budget planning, were taken into account.
In particular, the Program provides for the following tasks:
1) Creation of legal framework for application of PPB and mid-term planning in the budgeting process and implementation of PPB and mid-term planning in all budgets by the end of 2014;
2) Increase in revenues of local budgets due to transfer of additional earnings to local level; increase in revenues, which are not taken into account for the purpose of intergovernmental transfers calculation; charging to local budgets’ development budget of enterprise profit tax and individual income tax, increase in own revenues of local budgets, introduction of property tax.
3) Improvement of intergovernmental transfers;
4) Improvement of the legal framework, which regulates the issues related to attraction of funds by municipal authorities, in particular, due to application of innovative financial tools, strengthening of lenders’ rights to claim for timely repayment and servicing of municipal debts.
Glyanec